Jack Is Back! Dorsey Officially In as Twitter CEO (TWTR)

Dorsey tweets about improving TWTR's ease of use, utility going forward

A few hours ago, Twitter (TWTR) Co-Founder and current CEO of payments company Square Jack Dorsey took to his creation to announce some big news: He is officially becoming the permanent Twitter CEO once again.

Jack Is Back! Dorsey Officially In As Twitter CEO (TWTR)The move isn’t entirely unexpected — early TWTR investors like Chris Sacca have been clamoring for Dorsey to be named chief executive for months, as the company searched for someone to replace Dick Costolo.

Plus, Re/code kinda ruined the surprise last Wednesday when it reported the board had made up its mind and Dorsey was their choice.

The Medium Is the Message

Dorsey aptly took to Twitter to announce his appointment as TWTR CEO. In a series of tweets, he announced the news…

Discussed TWTR’s purpose…

Bragged on it a little…

Promised investors that work was being done…

And said broadly what that work would be…

Shares of TWTR stock, which went up initially upon the Re/code story last week but have fluctuated since then in absence of the official announcement, were up more than 2% in early trading.

Quite a Bit to Do

Dorsey has his work cut out for him as the Twitter CEO, that’s for sure. And with Square prepping for an IPO, I’m sure he’ll find himself with quite a lot to accomplish on that front, too.

Perhaps the most important thing he needs to do for TWTR stockholders to really start loving him is turn the company profitable. On a GAAP basis, the company lost $577 million last year and $645 million the year before.

Diehard TWTR bulls will tell you that as Twitter shares hover around their IPO price, the company remains a prime buyout target for someone like Alphabet Inc. (GOOG, GOOGL), which, they argue, could use a legitimate social media platform.

Personally, I doubt GOOG wants to drop $18 billion on a slow-growing social media platform struggling to monetize.

Dorsey, to be sure, is the only thing that can catalyze a TWTR turnaround.

As of this writing, John Divine did not hold a position in any of the aforementioned securities. You can follow him on Twitter at @divinebizkid or email him at editor@investorplace.com.

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Article printed from InvestorPlace Media, https://investorplace.com/2015/10/jack-dorsey-officially-twitter-ceo-twtr/.

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